Are You in the One Percent?
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- čas přidán 13. 01. 2024
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How much do you need to earn per year to be in the top 1%? The answer to this question varies depending on if you are asking about the 1% in a given country or globally?
In today's video we discuss how much you have to earn and how wealthy you have to be to be considered in the top one percent. We discuss the careers and lifestyles of the one percent. We look at inequality research to try to understand if inequality is actually growing as much as researchers like Thomas Piketty say it is.
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I'm in the 0.01%
Oh yes
Elon musk is my buddy
It would be interesting/helpful as well as a marketing opportunity for you to place the various statistics related to each of your videos, along with any other related material on a website where it can be reviewed. In the case of this video specifically, the net worth and incomes statistics country by country along with whatever growth rate calculation can be made. Die because
Patrick shaved right before this video, I can tell.
Ground News will eventually accelerate you into the one percent club Patrick. Avoiding exposure to Add Blockers is a morel deficit. I depend on RI (real-Intelligence), so I can manipulate my touch pad to fast-forward past your avarice based attempt to escape the 99% club. Patrick you know better, the nature of the soul is service. Exacting due service by advertising will prevent you from entering past the gates of heaven. Return to your heart and say within I Will Promote Ground News No More.
When following the money 💰 goes to the next level, hence this video . [ 99.9999 % > rich ] guns they know could be the equalizer?
It's sad that Patrick started this channel to discuss his passion about rap music, but every time gets dragged back into finance. How about leaving him to focus for a while, guys.
hahahaha nice
Finance and wealth are common topics in rap music, which is why he keeps going on tangents about them, but he’s still staying true to his rap music roots.
#RapOn
There’s only so much Razzlekhan we have in this world
I haven’t seen him sporting his grill for ages, sad.
You had me convinced at ‘based on Credit Suisse data’ tbh.
Most reputable company ever.
Well he spent so many years beating that dead horse.
😂
Oxfam too.
Someone has to give them all the money they piss away lol
Im in the 1 percent. I got 1 percent of my income left after expenses
Heh
But seriously, hope you're doing okay.
broke
I have more than people who having nothing and I have nothing compared to others which leaves in the same position no matter how you spin it - poor.
It is so rare to hear someone explain why an issue is complex, instead of hammering the audience with their own conclusions
It's kind of infuriating that those very expensive watches and all of the money Jordan Belfort has doesn't go directly to victims. It's actually sad because he has made a lot of money and continue to his life of being a scammer since his popularity from the movie
Cash rules everything around me. No losing hands for our capitalist overlords when the deck is stacked by the rich.
@@Mighty_Atheismo he screwed over a bunch of rich people to do it.
how on earth this guy is allowed to continue scamming people with his fake guru courses and coaching is beyond my comprehension... and accumulating even more wealth while not returning money to his victims... completely messed up
@@peterh3213 because he's not breaking the law. He's selling his fame, just like the Kardashians selling cypto. People are being stupid for buying his courses, but being stupid is still legal in most countries.
@@peterh3213its because people are stupid and gullible and think that'd get rich by following some B.S course. It's Econ 101 supply and demand
Came for rap reviews, stayed for fashion advise.
If it wasn’t for Patrick, I’d be driving a Lamborghini Urus right now.
Well, Patrick, a lack of income, and a lack of assets. But I like Patrick best out of those.
My grandson told me on a recent visit that he had changed his college major to economics. I offered my condolences l
Condolences indeed. My firs serious job (back in 1971) was as an investment analyst for a major Australian unit trust company. I got the job because I wasn't an economist (I studied science, including statistics.) My two predecessors were trained economists, but broke down under the stress of relating theoretical economics to the real world. My late boss would have loved this channel.
Indeed, an economics education consists of indoctrination into a mythology that has nothing to do with the real world other than being used to justify the power of the currently wealthy as if they earned it
@@paulperry7091funny how this seems to be inherent in economics study programs all around the world. Studying it left me questioning most of things covered in that program and it showed me that most lecturers are incredibly great at explaining things within the walls of a university or a science institution but once they step outside it was a different world.
economics is not a real science.
Economics is generally regarded as a social science, although some critics of the field argue that it falls short of the definition of a science for a number of reasons, including a lack of testable hypotheses, lack of consensus, and inherent political overtones.
Well said.@@1MinuteFlipDoc
Income should never be compared across countries and regions without first adjusting for purchasing power parity. Money is meaningless as a number, What matters is what it can buy.
I'm originally from NYC, but I moved south a few years ago. The number of times I had to explain this to people is sad. My friend pays $2,700 for a one bedroom. I pay $1,500 for a two bedroom with an office. My grocery bill went from $120 a week to $80. Yes the pay is more, but that doesn't matter if essentials cost more.
It matters to people closer to the 1%, because they'll see this as financial opportunity and use arbitrage.
Lots of upper middle class Indians in the US that own multiple properties in India, and are considered upper upper class there.
Decades ago my uncle went to the UK for a visit and got sticker shock. When he came back he remarked that even if you worked in the UK for their currency and converted it to ours you would also have to pay like 10x what we would pay for a cup of tea and toast.
20:50 I stopped eating - I doubled my income pretty much over night. It's a deflationary loophole that I found.
I keep feeding a homeless lady at a gas station I visit regularly. Even though I struggle to pay bills and complain about inflation, I have to check myself and be grateful because even though I'm lower class there's still another class below me called the Struggling To Eat class.
Those are called methheads.
You are not lower class. You may be in a low economic position, but helping someone in need, places you in the highest class! Thank you for helping a person who is struggling😊
Your higher in class than any of those in the 1%, helping those who need it even when you yourself could use the money is a great indication of your humanity
Rich people are gharbage humans
SH im gonna need yo to STFU cause you have just said one of the stupidest things I've heard
So it seems that if you have $100k debt you are in trouble but $100m debt is too big to worry about.
I guess the old saying holds true. $100k of debt is your problem, $100m of debt is the banks problem.
The car thing at 17:19 matches what I observe amongst my peers. I own two houses, yet my coworkers earning the same as me and starting with the same starting point, are only just now buying or struggling to buy, despite apparently having a similar lifestyle to me. This makes no sense at all, until you put my car next to theirs. I buy cars at half to a third the price they do. This may not seem much, but consider that I am spending less than 1/6th my annual household income on a car, and my peers are spending half of theirs.
I am by far not the wisest spender, but investing large amounts in a car, which depreciates in value rapidly, is obscene to me.
I was in a class and the lady was teaching us about depreciation and how to calculate it for accounting purposes. Then she taught us how to work out a loan amortization schedule to see the total amount of money one actually spends on the item. The next day, one of the guys came in and said, "I'm depressed." When we asked why he replied, "I recently bought a car." 🤣
Patrick used the word "percent " in 92% of sentences he spoke. 😮
is the new video introduction for fraternities. A shot for every time he uses the world.
Already fell off my chair
Ah he must have taken Bernie Sanders' class on communications
What percentage sentences mention Cardi B?
Wait. Hold up. You're right
so excited for another ballerr video from my favorite hip hop and rap influencer
I think the definition of "income" for the top is also inconsistent. At this stage you pretty much have to be an employee of a high paying sector or a business owner, and too many people define business income as top line revenue instead of net income.
True, there is also times when a business might have a low net profit for the year but at the same time spend heavily on assets to grow the business.
The problem with the report is the cherry picking of data. Their main headline is "Top five richest man double their wealth since 2020!
"'Since 2020' means 'Since 18 march 2020, which was the absolute bottom of the Covid-stock crash' for example. So the 30% loss in the first months of 2020 is completely ignored.
Furthermore, it's a great example of survivorship bias. They look at the richest person today instead of looking at the richest in 2020. This way they can include Musk who has $240B today, but an 'irrelevant' $20B in early 2020. Making up for about $160B or 30% of their claimed wealth gains.
My problem isn't that their ideas are wrong, that's a seperate discussion. My problem is that with this level of cherry picking for the rich, it's difficult to believe they don't do something similar on the poor side. Add those two margins together and I can make the argument that I can cherry pick data that shows that an increase in inequality isn't of the scale that we should care about it.
@23:15 Canadian immigration policy, at least in the past, has been points based giving more points to higher educated immigrants to start with. Those were immigrants but they were as highly educated and the same traits were passed down to their kids.
Except it has come to light most of those immigrants come from countries where their higher education is worth less then our lower education.
Yes in the past, now it's not about quality it's about pandering to the liberal agenda at any costs.
This divide can also be seen in US immigrant demographics. Indian Americans have disproportionately large incomes relative to the average American because like immigrants to Canada, only the well educated and wealthy were given visas. Geography also prevents poor/uneducated Indians from ever immigrating.
Canada has basically been stealing from India's 1% for a while now. The total net worth of those buying up canadian PRs each year could be as high as US $100bn as per govt. estimates.
And that policy has destroyed the Canadian housing market.
You are absolutely my favorite Financial Educator. I appreciate how you present well researched material around interesting and highly relevant topics and I enjoy and appreciate your dry sense of humor.. you are both entertaining and educational to me. Thank you 🙏
I was scared for a moment to not be part of the 1% but the dollar/euro exchange rate saved me.
So all sorted now? Just checking
@@kachrachiyes that’s what his sentence implies.
I'm a genx teacher that owns their own home here in the states. Seems I'm in the 1%. Funny i dont feel wealthy. Perhaps if i sold my home and moved my family to a tent in the woods that would sort it out.
What that shows you is you could redistribute all the 1% wealth and all it's going to do is make everyone poor to the same degree
@@SM-nz9ff but what about USA's top 1%
Yeah, the bottom 1%
No if you have internet access
Also very interesting that according to these statistics, the income differential between U.S-sprcific poverty, and the worldwide top 1% is only $31,000
California's skewing that. You're low income if you make less than 45k here and you can't survive comfortably on that; ask me how I know 🥲
@lowwastehighmelanin what part of California?
If you are robbed of 80% of your earnings by landlords and superpriced groceries you may look rich by salary but be real poor
This is not really true when you adjust median incomes for the cost of housing, etc.
Even PPP doesn't paint a very accurate picture of the purchasing power of the developing world because the informal economy is larger, and incomes are dramatically underreported (for tax evasion). PPP also underweights basic costs of living such as housing, healthcare, and post-secondary education.
I just returned from Punjab last November, and I was surprised at how much India had caught up. Their median income may only be $8000/year, but 1 bedroom rent averages $130/month and healthcare costs are 90% lower than in the US. The same is true for groceries, restaurants, hotels, and higher education (which is a lot more rigorous, and job oriented than the US system).
Indians still pay a lot more for some consumer goods (laptops and automobiles are two examples that come to mind). However, they also have extensive transit (go anywhere in the city at any time for less than a dollar) and cheap inter-city trains, and companies frequently provide a "company car" for employees to get to and from work.
India still has a long way to go in terms of waste management, pollution, driving habits, etc., but I think most economic indicators are underestimating their progress, as well as that of many other "developing" countries. The US is definitely above average, but the lead is a lot smaller than many of us assume.
@@aaronhpanot to mention all the insurance you are required to carry
So much of this is logical and feels like it should be obvious.
The media really had me 100% believing it was all a stich up
Sadly, I am not in the One Percent. But I am doin' alright and most people on the planet has it worse (many of them much worse) than I have. But I complain anyway, bacause I can. And I like complaining.
😂
You aren't french by any chance ?
Clear, concise, witty…. Best way someone explaining a topic like this. Borderline 1%er but just middle class and that’s enough
What advice would you give an unemployed, but rather intelligent 37 year old, single, American male these days
I love your deadpan delivery of your humour as well as the precision of your presentation
I have been trying to discuss similar things for a long time. Most middle class in my home country have only a modest net worth but a still live a very comfortable income. So new worth is not a very good predictor of standard of living. Same goes for pensioners with huge houses and no debt but love incomes. They can almost be considered poor due to cost of living, but they can also be considered rich due to their lifestyle being very good if they sell the house.
Great video
Thank you so much for educating us Pat! You are a star
the lighting and colours are magificent. the blending of the shadows into the blues and grey is sublime well done whoever designed your set and lighting
I hope everyone realizes that the “1%” is not a static group at least in the US.Obviously a certain relatively small group stays year after year but the vast majority stay for only a year out of each decade.Worldwide figures of course are totally different since many nations have almost no one that would ever be in the US 1%.
Let's reevaluate in 12-18 months.
@@HoneyBadger80886 I never said the US was moving in the right direction.You are right if you’re insinuation is that our current political climate isn’t conducive to a healthy economic future.
Based on if democracy gets overthrown in favor of explicit aristocracy? @@HoneyBadger80886
Patrick discusses this at roughly 17:30 - 18:30
1% is the most static group in the US out of all social groups, lmao. You like drinking copium much? Are you confusing high earners vs wealth? It would take you 25 years earning as 1% to get into 1%. You'll forever be poor compared to them. A speck of dust; a serf.
Mathematically the cutoff for the 1% keeps changing. So what's the number and in what country are we calculating it?
UPDATE:
Ok. $60K in the states, that was after taxes? And presumably with zero debt...
It's income inequality, so debt doesn't impact it either way.
We adjust it until it makes rich people look bad
@@samsonsoturian6013 Epstein makes rich people look bad.
You did very good with this one. Great to put things in context, this is important work
Great content, Patrick! Enjoyable and informative, just like Cardi B!
I have been a 1% in income for the last 4-5 years. I am also near 1% in net worth. I consider myself to be upper middle class in the US. I couldn't retire where I am due to high cost of the house that I already own (a large part of the net worth), health care insurance, which is insane, and other factors... But I could sell the house and move somewhere else and retire there. At the end, when you have enough, you still need health and sanity.
An important observation. High income does not mean high wealth. Most Americans who have "assets", those "assets" are their homes and retirement accounts. Not exactly Scrooge McDuck vaults full of gold coins. Also, a cop in a large city married to a school teacher could be said to be in the 1% with the NPV of their pensions and benefits. Yet, these are certainly not wealthy people. The income inequality issue really tells us more about the lower segments of the economic ladder than the higher rungs.
Move to another country, f.e. emerging market environments, you cut your living costs in half and still double your live quality. But it's not everybody's cup of tea, and not everybody makes the right decisions in a foreign territory, one should not get too exited, better to keep the ball flat.
To me you are poor, don't get upset, it's a common thing that the majority of the people think they belong to the top 1%
healthcare is much cheaper elsewhere. but look. you run into americans who think that "anyone" can buy buy a 10 000 dollar watch and that it isn't a show of wealth. and into americans who never cook themselves, while considering themselves to be poor.
context is everything for the human mind. if you move to a peaceful 3rd world country you don't feel poor if you just have the basics.
You should do that. Your income might drop but your quality of life would improve. Plus some savings (investments?) in the bag for hard times.
i have those same notes from zimbabwe but hey at least were billionaires and multimillionaires Boyle is the Goat
I appreciate that you pointed out that not all debt is equal: house debt is generally actually equity whete as credit card debt is a burden. However you neglected purchasing power. In places like vietnam, ghanna, chile etc you can rent/own decent shelter with water and electricity, and local food and drink, for low hundreds of dollars. You might own a cheap motorbike instead of an SUV but the effect is the same. Whereas in places like the UK, China, and the US, in most places you literally cannot survive individually on the lowest quartile income. You HAVE to be in a relationship or live with roommates or have family assistance etc.
My family managed to graduate from abject poverty to lower middle class & then back down to relative poverty.
As always, top notch information, Patrick. You might want to look into inequality in high school athletics because it's something with an easy to define metric; winning games. It used to be high school divisions were based on the size of the student body but more and more states are going to divisions based on the median income of the school district. Rich schools beat poor schools with alarming regularity, regardless of the number of students.
Highschool athletics are a much bigger deal in America then overseas. Not sure he would care.
Just out of curiosity do you have a source? (I'm an American and interested)
I can refer you to my own article on the subject and the article it references. Look up School Football Poverty for the original article and Wealth Gap between poor and rich in athletics for my article. The first article references Iowa as having a lot of debate on the topic but I think, from memory Minnesota, CA, NY, FL and some other states were contemplating the same thing.
@@KS-PNW
This channel is my favorite source for rap news.
I work minimum wage and still watch your channel and i am not even from the us or the uk. Guess i won't be a 1% for a bit.
Druže Tito mi ti se kunemo...
FINALLY! I've been talking about Oxfam being extremely biased and using information very loosely for years. I love you even more after this.
Watching Patrick always reminds me I need to check out how Young Thugs trial is going
I loved this video. Thank you bro, as usual.
Thanks for the reviews. I'll be sure to check out the rap albums recommended in this video ❤
Ahh, PCE. Eating SPAM instead of steak and saying you're 5% richer because SPAM today is only 95% the cost of steak yesterday. 😂
24:00 This point is quite important in terms of making sense of history. While it's quite common to say that Europe plundered the rest of the world during colonialism - and obviously it's 100% true that colonialism was brutal and some outright plundering/genocide occured, it's also true that, overall, colonialism and industrialisation didn't make the rest of the world _poorer_ , rather, it made Europe much richer. More specifically, by decoupling human labour from production, industrialisation allowed for genuine changes in gdp per capita - prior to this, 'rich' societies ere just those that has more fertile land and more people, meaning standards of living for the average person (an agricultural labourer) weren't necessarily that much better than being a neolithic-era tribesman.
Well, at least Europe is getting karma through immigration. Now in the UK, poor Africans and Asians are outsmarting poor White Brits and are twice as likely to go to university.
You nearly 10x'ed your Zimbabwe dollar investment with zero leverage. You're a forex trading rockstar!
I’m in the 1% but that’s a hell of a long way from having a private jet. I still fly coach. The 1% is catchy but it’s really just wrong. When people think of the 1% they are really thinking of the .01% - one in 10,000, not one in 100.
Its funny how he cant even mention credit suisse now without it being amusing..
i gotta admit, i usually take 1% reports at face value, thank you for providing such great perspectives
Interesting stats. I did see some of that coming. I knew the 1% would not be as stupid about family as the rest of us. Thanks Patrick.
The low average cost of 1%er cars makes sense, they recognize it's a depreciating asset. You don't build wealth by overpaying for things that lose value over time.
@23:00 in Canada: the likely reason is the concentration of immigration in developed urban centers of Toronto, Montreal and Vancouver. all have had massive growth in populations leading to a boom in real-estate values, but also the three are home to good education programs focused on medicine, law, engineering and other high pay services including finance, where the industries centers are based. New immigrant families are also possibly more likely to instill higher educational goals than second generation families.
It would be nice if you made a video on the economics of the rap industry and the lives of rappers.
Omg, Patrick invested 40c into foreign currency which is now valued at $3? No wonder he managed a hedge fund with returns like that
Another hard-hitting insight into the world of rap and hip-hop!
glad to see Patrick is keeping up with rap music. yo.. err something
19:01 Patrick watching the good times end out of the corner of his eye.
Like you mention at some point - it's all relative too. Based on the 60K net income criteria, I just about belong to the 1%, yet I'm 40 years old and live in a studio apartment (which I did buy though) in a sketchy building with dealers, sex workers, alcoholics, students and working class people and only have about 80K in life savings. I.e. if I was to buy a decent car, about half of that would be gone (similarly if I sold this apartment and got a more reasonable one).
While I am incredibly thankful that I'm better off than so many on this planet and not having to think about my day to day expenses, there are also many, many people around me (Well, not in this building. But I just have to look across to new apartments that were about 1M each and sold out pretty quickly. Before the prices were announced, I was hoping I'd be able to take advantage of the opportunity...) with higher living standards.
so you have a pretty "diverse" people in your building... isnt that a plus :-))...?
@@romannavratilid I know you're joking but...
I actually quite like my student neighbors aside from the fact that they're very reserved.
And I really wouldn't mind all the others either, since I go by "do whatever you want as long as you don't harm others". But that's the problem. Used drug paraphernalia and feces in the stair case, vandalism, noise, garbage being stored in the basement, etc.
@@notthere83 yeah... i can only imagine... the noise alone would be a deal breaker for me
A thought-provoking look at wealth distribution! This video prompts reflection on one's financial standing and the broader economic landscape. #WealthAwareness
My heart skipped a beat when you mentioned Credit Suisse....you managed to resurrect one of your best examples of financial mismanagement.
Thankful for a youtuber actually talking about the European side
My source of intellectual and humor stimulation
Nice, thanks for the info.
19:01 "you don't know when the good times might end",... I liked the side look :D
the other aspect of wealth and poverty is people forget these are transitory social conditions. People can be wealthy one month and broke the next, US research statistics looking at poverty showed that within a 10 year timeline a majority of US citizens within the poverty wealth bracket had migrated out of poverty. Same for the top 1%, over 80% of people within that bracket didn't start their working life within that wealth bracket.
I think you'd have to define 'wealth' and 'broke' by saying "wealthy one month and broke the next". Because unless it's the IRS and the justice department cleaning you out, with some civil lawsuits right behind that, and even, that's pretty hard to achieve being '"wealthy one month and broke the next".
At best you aren't cash fluid, or severely down in overall' wealth'. Losing everything to a broke status isn't a usual thing to happen. Unless it's a lotto thing where people just get money, don't make any investments, never buy any property and actually own it and have no assets whatsoever and just spent it on crap and never kept track of it.
All that doesn't matter. We just hate zucc, bezos, musk and others like blackrock. Face the truth.
Poverty is scarcity by design.
This is actually quite inspiring. It is not as difficult as I thought it was to get into the 1% club.
It's not as difficult, but not as rewarding either... and somewhat precarious too.
I didn't really go in depth or listened to this video very closely, but I think that what you mean is it is not that though to get into the top 1% of earners club. I know here in my cuntry, I might (with a little bit of luck) soon be earning 3000 € per month which will put me very close to 1% of top earners, but looking at the net value (all assets combined) I will never even reach 10 %... I would argue that if somebody inherits 3 houses (there are many such people here in our country) you can be the top 1% of earners your whole life but your net worth will still not reach their level...
Thats because the 1% is a meaningless measure meant to divert attention from the 0.01%
If you compare the average of the 1% to the rest, rich people look mostly okay.
If you compare the average of the 0.01% (the actual super rich) you can see why they all need to be sentenced to a short drop for crimes against humanity.
Or. To look at at it the other way. There are plenty of people I know, technically in the 'global' 1% who arent really doing *that* well. And that's as good as it gets for planet earth. So that's a little depressing.
If someone at the threshold of the top 1% live in london, they have to surrender 70% in rent/mortgage costs for just 2 bed flat, and further 10% in energy bills. Compare it to places like Hyderabad, where essentials like professional housing ($10K to buy) and energy ($8 per month) are relatively affordable. As a result, Indians enjoy far greter quality of life (the way they understand it) and retain good family prospects, while they still maintain status of developing country and appear ultra competitive for servicing western economies at gross professional salary of just $7K per annum.
Westerners are doomed, and the hyper-inflated cost of basics like housing and energy are to blame.
I don't know what video was about, but I hella relaxed watching it😂
there's a difference between income and wealth. i think it's important to distinguish them....
I think it is ridiculous to obsess about the 1%. These people are broke compared to the 0.1% and 0.01%. Most doctors in the 1% if they decide to hang it up they will be broke in no time. That is the nature of 1% income earners especially after taxes and expenses in high cost of living areas.
Because it is envy driven, not an actual assessment of what the top is doing. Also, there was a time before globalization when the super rich didn't exist and prtty elites were the source of politics
@@samsonsoturian6013 I may be wrong but I am quite sure that the pyramids were not -built- funded by middle class Egyptians. Even looking at all the grand temple structures in Asia, I wonder well, where are the rich people villas of the day that you find in Roman societies? We complain about wealth inequality today but was in worse in the past? Further, given that wealth often depends on trade, and trade is dependent on government policies, it is perhaps inevitable that business wealthy will get into politics.
There are some problematic people across a wide range of incomes, people who earn their money in a inhumane way then proceed to evade taxes and hoard wealth and use their wealth for superfluous luxury items or to assert control through lobbying or buyouts. We all know these people exist and no arbitrary line will include them all without also including more ethical earners, I think it would be more useful to instead call them super elites.
A good way to illustrate the US 1% threshold is by naming some examples of who makes that kind of money. The US president does not qualify, but the LA County sheriff does. Most head football coaches of reasonably successful college football programs do (if it is a state school, the coach is a state employee and often the highest -paid position among state workers).
In the MLB it is the minimum wage for any baseball player according to the MLB''s Collective Bargaining Agreement (CBA).
The retired city manager of VErnon used to get more than that in retirement benefits, as did a high-ranking member of the CHP. But he had to supplement that by finding another job as security director in the private sector.
Point is, being in the US 1% by income is not as rare as the figure might suggest.
Well by definition, it’s 1% of people. If I told you that you had a 1% chance of anything, it would be unlikely to sway you in any direction.
You’re just referring to the rule of large numbers, 1% of 350 million people is 3.5 million earning high salaries, that’s a lot of people.
@@hippievan4040 I was going more in the direction that it is wrong to think of the 1% in terms of mega stars of entertainment, captains of industry, or dynastic family wealth.
Maybe it's too low a bar, but people who don't immediately spring to mind when talking about a set of the financial elite qualify for inclusion.
Surprisingly, even I am not too far off.
@@jdrancho1864 Well sure, but even the world of entertainment has a spectrum. Some actors make $50,000 a year, and Johnny Depp was making $20 million per movie, there’s a rare handful of namable stars that are huge, and thousands of actors that have small tv roles and make some money here and there.
Same with Coaches, yes major universities pay huge salaries for football coaches, but they are the minority of college football coaches, the head of a D3 or D4 college basketball team maybe is making in the mid 80’s.
Or the NBA, every player makes at least I believe $470,000, but what percentage makes the minimum, vrs 15 million per season?
The top 1% is still that, 1/100, a minority of people. There’s lots of wealthy people, but it’s still a small minority of people.
18:50 - best life advice, ever
Thanks!
This analysis is not your finest work Patrick, but I do look forward to your upcoming Mixtape.
Nope .. he seems a little biased!
00:05 The Oxfam report on global wealth inequality is flawed.
03:35 Global income inequality and wealth disparity are important topics in current elections.
06:50 Diverse news sources are important for unbiased perspectives.
09:55 Inequality research data can be flawed and politicized.
13:48 The 1% live in high-cost areas and have similar political views as the general population.
17:03 Top 1% invest in homes, equities, bonds, and venture capital.
19:51 Hourly wages have shown a 15% increase over pre-pandemic levels and have increased 25% after adjusting for inflation using substitute goods.
22:57 Global income inequality trends over time
26:00 Research shows deceleration in income growth for the top 1%, with controversial findings on income inequality.
29:07 Challenges in working with income inequality data
At 16:56, It's worth considering that the $48,000 number is the OTD cost of a vehicle and not MSRP which is used for the comparison. OTD cost includes taxes, fees, and additional upgrades from the base models MSRP.
For example the cheapest Wrangler you can buy is $32,000 (not sure where yahoo got $22,945) all the way up to $92,000 for a Rubicon 392, which for OTD is about $35,000 for the base jeep or $98,650 for the top trim model.
The other MSRP numbers seem off as well - it looks like the information is from a 2012 article "Bestselling cars in America's wealthiest zip codes" which also explains some of the price difference. The average new car price in 2012 was $30,570 which would be the equivalent of the $48,000.
They should've dropped the "price" category and just state the vehicle type and model. We know how much those cost. And most of those were bought second hand.
5:23 I'm Brazilian, and I can tell right away the data about Brazil is wrong. The top 1% here makes about $75k a year.
The top 10% only gets $9k a year.
$176k is probably for the top 0.01%.
🤔🤔🤔 But does it matter if inequality rises? Seems to me that we should care more about poverty than inequality. It doesn't matter that my wealth is not equal to Bill Gates'. What matters is I have a roof over my head, I don't sleep on an empty stomach, I am mobile, I have access to good healthcare. Basically, I live a pretty good life📍
Yes, that makes sense.
However there is research that says sociteal happiness is greater in more equal societies regardless of average income.
@@andrewharrison8436 All about envy I guess. If everyone is equally poor they would be happy. But then they go on youtube, see how everyone else lives and then get dissatisfied. lol.
@@Mady-lo6qb When I worked in London the Evening Standard newspaper would publish headlines about bankers bonuses. I calculate some of those bonuses exceeded my lifetime earnings - yes envy seems a starting point for the emotions.
I can´t believe I´m in the 1% in my country. I thought that I belonged in the middle class.
That's actually common. My parents insisted they were middle class but then I moved to wealthier part of my country and found that in both income and life style they were top 20 to 10 percent depending on sales.
Maybe if you don't have outer opulence it's harder to notice.
You may well be. Being upper class and being in the top 1% of income and/or wealth are not the same thing. Don't conflate money with class.
Lovely Mr Irony.. thank you.. Just a 101 irony point. You must not attempt to hide a crumply shirt behind a big tie.. someone will find it... Dave
I was a student when Piketty's book came out, and I have to applaud you for covering the research and it's detractors even handedly. It was definitely not so in years past.
Would love to see you cover his "c=r" finding (not even sure if I'm referencing that correctly, it's been a hot minute...)
in the 8th minute you had a slip of the tongue where you used "income" instead of "net wealth."
I wasn't expecting Patty B giving the Rap News, but I dig it.
incomes are relevant to the area that you live in.there are many places in this country I can't afford but I'm comfortable where I am.
this is a great issue, how do you compare wealth and income, within or without the same country? in my youth, a farmer with 10 dollars a month was wealthy where I used to live.
Underrated comment.
Really hard to work out how assets and income interact to define top 1%.
At the bottom you can say that involuntary hunger is being poor but at the top, as Patrick points out, debt but excellent earnings prospects is a good trade off.
Differences in social organisation are important. In the UK I have income less taxation, if I didn't own my house I would have to subtract rent, if the UK didn't have the NHS then I would need to subtract healthcare costs.
Yes, this is complicated, yes any study will be open to critisism but that's no reason to not discuss it and be concerned by it.
Appearance can be deceiving. The saying a bird in the hand is worth 2 in the bush should never leave your mind. It's all local. I would guess, both ways, the rich lie about what they have.
I sooo want to watch Patrick talk about rap music...
One of a very few
Anyone interested in the topic of wealth inequality might find the work of Victor Yakovenko on inequality from a statistical physics point of view interesting. There's a lecture on CZcams, ''Economic inequality from a statistical physics point of view'' or the paper "Colloquium: Statistical mechanics of money, wealth, and income". or the paper "Colloquium: Statistical mechanics of money, wealth, and income".
Im about a million yrs from being in the one%....
I only come here for the rap news, thanks for the Cardi B lettuce update!
Davos again! Man how time flies. Our economy will be decided Monday.
Just peeking in to see the direction the channel is going 😊
We need more Credit Suisse puns!
the moral and political questions are not about top 1% of income earners. People working important highly demanding jobs should be paid well. the political question is whether or not we let individuals accumulate billions of dollars. At that level you have far too much control over the way our society functions and leads to so much rot (imo, obviously)
How cam you talk so much but say so little?
@@samsonsoturian6013 He's right. No one is worth billions
But when we are talking about the 1%, we aren't talking about the billionaires. We are talking about people with extremely high BUT attainable amounts of wealth
@@Drakshlyeah, it's only one in a hundred, not one in a million. Anyone man who works hard will likely get there eventually
@@Dante3214you aren't even worth pennies
Net worth at the top is a bit messy, because you've got those who own multi million dollar companies and 90% of their net worth comes from that ownership stake. They might be very rich on paper, but they're often very precariously so, as their worth is tied to their company's performance. Then you have those with a far more diverse portfolio of investments and assets who have a much more secure place in the 1%.
exactly this! Sam Bankman Frieds (or whatever the scammer's name was) was worth of billions just 2yrs ago and now is almost broke
An accurate picture would only include functional assets under control. That is physical assets and short-term financial ones. Owning a long-term bond is nice if you don't need the money, but has no effect on your day-to-day lifestyle and would be a worthless thing to redistribute.
But that's a lot more work to calculate and doesn't sound like doom so I don't expect a report like that.
Amazing video. In my opinion I think you’re missing a lot of nuance, at least in my experience as a working class American. While I will just have to respectfully disagree on some of your conclusions, as you said, this kind of research can be interpreted in many ways. Obviously our perspectives aren’t the same, and that’s okay! I just have to say kudos to the hard work and detailed research put into this video. Love your content!
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Rich in Kenya!!! wohoo made it
Now just need to move there
😅As a Kenyan🇰🇪I beg to disagree with that data. No way a networth of $20,000 puts you in the top 1%. I mean, a Masai pastoralist with 100 cows each costing $200 dollars would be in the top 1%😅No way. My tiny 50×80ft piece of land in Nairobi is worth $50,000 and I couldn't even call myself upper middle class. I know of so many teachers and small business owners well worth over $70,000.
Anyway Patrick, thanks for your informative and hilarious videos😅looking forward to more learning and laughter this year.
Nairobi is to Kenya what a Monte Carlo is to Europe. You're overestimating average income because of living in the richest part of the country.
@@ms-jl6dl pastoralists live in the remotest part of our country and they are also the poorest not to mention that teachers are some of the lowest paid professionals yet they can easily have $20,000 in the bank and assets worth multiple times that.
Re-building what "trust" ?
The trust that never broke